Intermediate-term bond

Intermediate-term bonds mature in two to ten years from the date of issue. Typically, the interest on these bonds is greater than that on short-term bonds of similar quality but less than that on comparably rated long-term bonds.

Intermediate-term bonds work well in an investment strategy known as laddering. Laddering involves buying bonds with different maturity dates so that portions of your fixed income portfolio mature in a stepped pattern over a number of years.